Goldrush Resources Ltd.

Goldrush Resources Ltd.

July 19, 2006 09:30 ET

Goldrush Updates Exploration Results and Announces Initiation of Drilling on Permits in Burkina Faso, West Africa

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - July 19, 2006) - Goldrush Resources Ltd. (TSX VENTURE:GOD) ("Goldrush" or the "Company") has received from High River Gold West Africa, the manager of its exploration programs and a subsidiary of High River Gold Mines Ltd., (TSX:HRG) ("High River"), results from recent work conducted on a number of Goldrush's 24 exploration permits. The Company acquired these permits through a Strategic Alliance Agreement with High River in January 2006. To date, the Company has advanced C$1,005,000 of its 2006 C$2,500,000 minimum exploration budget. The exploration permits are divided into three groups, with each group located in different regions of Burkina Faso. Prior acquisition and exploration expenditures by High River and Jilbey Gold Exploration Ltd. ("Jilbey") on the Taparko, Hounde, and Kindo/ Kaya Group permits from 1997 to 2005 totaled C$3,302,277.

Taparko Group

The Taparko Group permits are located in northeastern Burkina Faso, beginning approximately 120 kilometers east-northeast of Ouagadougou, the capital of Burkina Faso. The Taparko ground consists of seven permits: Tougouri, Nomikdou, Doumissi, Karga, Wole, Taranga and Bougou, three permits pending: Dyakolra, Ninnougou and Tanpelren, and two new permit applications: Birgui and Kirsiri. These permits cover an area of approximately 2,200 square kilometers and five of the permits (Bougou, Birgui, Kirsiri, Doumissi and Ninnougou) surround most of High River's Taparko Exploitation Permit where High River is developing the Taparko-Bouroum open pit gold mine and erecting a processing plant.

Tougouri Permit

During May and June, work at the Taparko Group focused on the Tougouri and Nomikdou permits. At Tougouri, which lies approximately 20 kilometers southwest of the Taparko open pits, 40 line kilometers of induced polarization ("IP") and ground magnetics surveys over the A1 grid delineated two parallel coincident chargeability-resistivity axes underlying a previously defined 2.4 kilometers long soil and rock geochemistry anomaly. The two geophysical trends lie along the interpreted contact between metabasalt (to the northwest) and metasedimentary rocks (to the southeast) which host gold mineralization in quartz veins. Quartz vein assays include three samples greater than 1 g Au/t to a maximum of 6.47 g Au/t at either end of the 2.4 kilometers long anomaly. Soil assays include 14 samples grading greater than 100 parts per billion ("ppb") Au, including two samples grading 9 g Au/t and 176 g Au/t, along the 2.4 kilometer trend. Sampling from two short trenches which had been excavated in 2005 gave three results greater than 1 g/t Au to a maximum of 5.45 g Au/t over narrow widths.

A rotary air blast (RAB) drilling program consisting of 3,800 meters in six north-south fences, with holes spaced at 25 meters and drilled to a 40 meter depth at a -45 degrees inclination, is to commence on July 19. This program represents the first of several drill programs which will be carried out in 2006.

The Tougouri A1 anomaly is open to the northeast where it crosses onto on to the adjacent Doumissi permit also held by Goldrush.

Nomikdou Permit

On the Nomikdou permit, prospecting, soil sampling, trenching and mapping previously identified a north-northeast trending gold-in-soil anomaly which is subparallel to the Markoye fault and which occurs near a major lithological contact between Birimian volcano-sedimentary units and granitic rocks. During May and June, detailed work defined three areas (Z1, Z2 and Z3) based on soil anomalies ranging from 400 meters (Z1) to 1,300 meters (Z2) long over areas of minimal bedrock exposure. A Rotary Air Blast (RAB) drilling program over these three targets is planned which will consist of four, east-southeast fences totaling 2,650 meters with holes drilled at 25 meter spacing to a depth of 40 meters at a -45degrees inclination.

On two other Taparko area permits (Doumissi and Karga), exploration programs have been completed and the results are being interpreted to identify drilling targets. On the Taparko area permit Wole, exploration (mapping, rock and soil sampling, trenching) has begun, while work on the remaining Taparko area permits has not yet commenced.

Kindo/Kaya Group (Bissa Area)

The Kindo/Kaya Group permits are located on the Boromo greenstone belt in north central Burkina Faso, beginning approximately 40 kilometers north of Ouagadougou, and consisting of five exploration permits covering an area of approximately 1,105 square kilometers. The Tikare and Kongoussi I permits lie approximately 25 kilometers southeast of Orezone's Sega Project and 6 kilometers to the northwest of High River's Bissa Project, where High River has recently published a substantial mineral resource estimate of 515,000 ounces of gold at an average grade of 1.51 g Au/t in the "indicated category" and 669,400 ounces of gold at an average grade of 1.28 g Au/t in the "inferred category", (source: High River News Release May 27, 2006) in addition to the 81,980 ounces of gold at an average grade of 3.38 g Au/t in the "measured category", 65,270 ounces of gold at an average grade of 3.27 g Au/t in the "indicated category" and 9,970 ounces of gold at an average grade of 2.89 g Au/t in the "inferred category" established by the previous operator. (Readers are cautioned that the above information is not necessarily indicative that gold mineralization present on the Bissa property continues onto the Kindo/Kaya group properties). The Mane, Noungou and Nahili permits lie approximately 30 to 40 kilometers southeast of the Bissa Project.

Tikare Permit

Of the five permits, only the Tikare permit has received previous exploration work. Two artisanal mining sites - Kilou and Badinogo - were investigated in 2004 with nine reverse circulation ("RC") drill holes by Jilbey. As detailed in the Company's recent Technical Report by SRK Consulting (Canada) Inc. ("SRK"), the RC drill holes (six at Badinogo, three at Kilou) produced 915 1-meter samples from which 29 yielded assays ranging from 0.11 to 10.3 g Au/t. The Kilou area is located in the western portion of the permit, and is underlain by mafic and intermediate volcanic rocks inter-layered with minor sedimentary units. Quartz veining is abundant in this area. The main quartz veins are either concordant to the regional northeast-trending foliation fabric or slightly discordant to it. Artisanal gold miners are targeting one main quartz vein extending over a strike length of 600 metres.

During May and June 2006, a 22.2 square kilometer grid with a 6.5 kilometer baseline was established on the approximately 5 kilometer long regional soil anomaly on the Kilou area, with grid emplacement for 100 x 100 m soil sampling, 1:5,000 scale geological mapping and rock sampling. A total of 2,419 soil samples were submitted for assay with 23 samples returning values greater than 100 ppb gold to 375 ppb gold. Three samples returned assay values of 1,294, 1,585 and 2,160 ppb gold. Of 630 rock samples submitted for assay, 5 samples graded between 1 and 2.7 g Au/t, 2 samples graded 6.2 and 6.9 g Au/t and 2 samples graded 31 and 69 g Au/t. Integration of the mapping, soil, rock and regional aerial magnetic survey data is underway to identify targets for drilling after the rainy season.

Mane Permit

In the second quarter of 2006, preliminary mapping and rock sampling were conducted over 11 artisanal mining sites. Of the 75 rock samples taken, 28 returned assays greater than 1 g Au/t. Details of the sampling results were included in the Company's May 31, 2006 news release. Further prospecting work on the permit, including regional soil sampling, mapping and rock sampling has identified five new areas from which preliminary rock sampling returned assay values from 1.77 to 20.0 g Au/t. Evaluation of the data is underway to identify targets for a September drilling program.

Kongoussi I Permit

The one kilometer long, east-west trending "RO" artisanal site has yielded significant anomalous gold values from preliminary rock sampling with the anomalous trend extending west onto the adjoining Tikare permit. A 3 kilometer baseline was established to provide control for mapping and rock sampling, the results of which were reported in the Company's May 31, 2006 news release. Gold mined at the RO site includes that taken from significant quartz veining at a sheared contact between metasedimentary rock and diorite. In total, 1,470 rock samples, 1,375 soil samples, and 240 control samples are being assayed. Pending receipt of all assays, Goldrush will drill test the RO showing over a 700 meter distance with approximately 700 meters of RC drilling in seven holes. Once all data has been interpreted, follow up diamond drilling will be evaluated for the fourth quarter.

Hounde Group

The Hounde group is located in southwestern Burkina Faso, approximately 280 kilometers southwest of Ouagadougou and consists of seven exploration permits: Tinkiro, Koro, Olongo, Tokora, Loropeni, and Bangbara, which are contiguous, and Massamo, which lies to the northwest of the Tinkiro permit. These permits cover an area of approximately 1,400 square kilometers. During the May to July 2006 period, field work was conducted by Goldrush on the latter six of the permits and fieldwork continues on Tokora, Olongo, Bangbara and Massamo.

Loropeni Permit

On the Loropeni permit, which is located directly north of Goldcrest Resources Ltd. Kampti permit, 1:5000 scale mapping and rock sampling (213 samples) have been completed over two target areas. Gradient array IP and ground magnetic surveys totaling 126.5 line kilometers over target area A are planned to commence in mid-July.

Koro Permit

Semiregional rocks and soil sampling have outlined two large areas of anomalous values. Target A occurs in an outcrop poor area underlain by Tarkwaian rocks, and extends for approximately 4 kilometers. Soil sampling of Target A has returned assays of up to 1.1 g Au/t (1,114 ppb Au) with 11 of 845 samples returning greater than 100 ppb gold. Target B extends intermittently for approximately 12 kilometers northerly across the property, and is in part coincident with sheared auriferous Birimian metasedimentary rock near the contact with Tarkwaian sedimentary rock. Soil sampling of Target B returned assay values of up to 1.18 g Au/t (1,180 ppb Au) with 16 of 1,269 samples returning greater than 100 ppb gold.

Additional Property Acquisitions

The Company continues to review potential property acquisitions in both Burkina Faso and other areas of West Africa. Details of these acquisitions will be announced when available.

All exploration work is being conducted by a team composed of 10 geologists, 14 technicians and 15 support staff. Goldrush has a minimum 2006 exploration budget of approximately US$2.2 million (C$2.5 million). Goldrush has raised C$4.22 million in equity financings during 2006 and is well capitalized for the completion of the 2006 exploration program.

Quality Assurance and Quality Control

Rock Sampling

For rock sampling, most samples consist of composite grab samples taken within a 5 metres radius, broken from bedrock with a rock hammer to provide a final weight of 2-3 kilograms. One blank sample, similar in size and appearance to regular samples and one standard are included in each batch of 20 samples sent to the Abilab laboratory in Bamako, Mali. At Abilab rock samples are coarsely crushed and up to 1 kilogram is pulverized to a minimum of 95% of the sample passing -200 mesh (with tests on granulometry). Assays are conducted on a 50 grams sub-sample by fire assay with atomic absorption finish ("AA"). Internal laboratory QA/QC includes insertion of blanks and standards as well as repeats, which are in part random and in part targeted on higher-grade samples. Most samples grading greater than 5 g Au/t gold are also checked by fire assay with a gravimetric finish on another pulp split.

Soil Sampling

For soil sampling, most samples are taken at about 70 centimetres depth, dug with a pointed metal bar and collected with an aluminum ladle which provides a final sample weight of 2-3 kilograms. One blank (similar in size and appearance) is inserted in each batch of 20 samples sent to the Abilab laboratory in Bamako, Mali for assaying. At Abilab the whole sample is coarsely crushed and up to 1 kilogram is pulverized to a minimum of 95% passing -200 mesh. Assays are performed on a 50 grams split sample by aqua regia/MIBK/graphite furnace and AA finish. Internal laboratory QA/QC includes insertion of blanks and standards as well as repeats, which are in part random and in part, targeted on higher-grade samples.

Dr. Jean-François Couture P.Geo, Principal Geologist with SRK, is the Qualified Person for the purpose of National Instrument 43-101. Dr. Couture reviewed the technical information contained in this news release.


Len Brownlie - President

FORWARD-LOOKING STATEMENTS: This news release contains certain "forward-looking statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. Except for statements of historical fact relating to the company, certain information contained herein constitutes forward-looking statements. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drilling results and other geological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future and other factors. The Company undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements.

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